1 00:00:02,840 --> 00:00:06,119 Speaker 1: Live from the Bloomberg Interacted Burger Studios. This is Bloomberg 2 00:00:06,200 --> 00:00:10,039 Speaker 1: Daybreak for Friday, April twenty two. Coming up this hour, 3 00:00:10,280 --> 00:00:13,239 Speaker 1: the US sends another one point three billion dollars in 4 00:00:13,360 --> 00:00:16,760 Speaker 1: aid to Ukraine. Fetch heir J. Powell rattleson markets, hinting 5 00:00:16,760 --> 00:00:20,119 Speaker 1: two half point rate heikes maybe needed. And new developments 6 00:00:20,160 --> 00:00:23,439 Speaker 1: this morning in elon Musk's pursuit of Twitter. More on 7 00:00:23,480 --> 00:00:25,079 Speaker 1: the arrest of a man and the murder of a 8 00:00:25,160 --> 00:00:28,480 Speaker 1: queen's woman. Plus Florida's legislature approves a measure to take 9 00:00:28,520 --> 00:00:32,560 Speaker 1: away Disney sell up governance privileges. I'm Michael Barr. More ahead, 10 00:00:32,880 --> 00:00:34,960 Speaker 1: I'm done stare. In sports, the Mets one of the 11 00:00:35,000 --> 00:00:37,400 Speaker 1: Yankees were shut out, the Rangers picked the Islanders on 12 00:00:37,479 --> 00:00:43,000 Speaker 1: the road, Teams one in the NBA playoffs. That's all 13 00:00:43,040 --> 00:00:46,960 Speaker 1: straight ahead on Bloomberg day Break on Bloomberg eleven, free 14 00:00:46,960 --> 00:00:51,400 Speaker 1: on New York, Bloomberg one, Washington, d C, Bloomberg one 15 00:00:51,479 --> 00:00:54,960 Speaker 1: or six one in Boston, Bloomberg nine sixties San Francisco, 16 00:00:55,360 --> 00:00:58,480 Speaker 1: syrius x M one nine team and around the world 17 00:00:58,560 --> 00:01:01,520 Speaker 1: on Bloomberg Radio, dot com um and via the Bloomberg 18 00:01:01,560 --> 00:01:09,840 Speaker 1: Business app that good Friday morning. I'm Nathan Hagar and 19 00:01:09,880 --> 00:01:13,800 Speaker 1: I'm Karen Moscow. US Dock Index futures are lower this morning, 20 00:01:13,840 --> 00:01:15,600 Speaker 1: Beer coming up to five o one on Wall Street, 21 00:01:15,600 --> 00:01:17,720 Speaker 1: and we check the markets every fifteen minutes throughout the 22 00:01:17,720 --> 00:01:20,640 Speaker 1: trading day. On Bloomberg right now, S and P futures 23 00:01:20,680 --> 00:01:23,680 Speaker 1: are down eight points down, futures down sixty five, and 24 00:01:23,720 --> 00:01:27,240 Speaker 1: NASDAG future is down eighteen. The decks in Germany is 25 00:01:27,280 --> 00:01:30,479 Speaker 1: down one and a third percent. Ten year treasury down 26 00:01:30,560 --> 00:01:33,600 Speaker 1: nine thirties seconds two point nine four percent, and the 27 00:01:33,680 --> 00:01:36,400 Speaker 1: yield on the two year two point seven five percent. 28 00:01:36,720 --> 00:01:40,199 Speaker 1: NIMEX screwde oil down about two percent. Nathan, all right, Karen. 29 00:01:40,200 --> 00:01:42,000 Speaker 1: We'll have more on the markets in just a minute, 30 00:01:42,000 --> 00:01:43,640 Speaker 1: but first we need to get you the latest on 31 00:01:43,720 --> 00:01:46,400 Speaker 1: the war. The US is sending another one point three 32 00:01:46,440 --> 00:01:49,840 Speaker 1: billion dollars in aid to Ukraine. Eight hundred million of 33 00:01:49,880 --> 00:01:53,480 Speaker 1: that will be weapons, including so called ghost drones. We 34 00:01:53,600 --> 00:01:57,360 Speaker 1: get the story from Bloomberg's at Backstair. Pentagon spokesman John 35 00:01:57,400 --> 00:02:00,200 Speaker 1: Kirby says ghosts will work well in you crying. In 36 00:02:00,280 --> 00:02:06,160 Speaker 1: discussions with the Ukrainians again about their requirements, we believed 37 00:02:06,600 --> 00:02:12,040 Speaker 1: that that this particular system would very nicely suit um 38 00:02:12,240 --> 00:02:15,520 Speaker 1: their needs, particularly in eastern Ukraine, and President Biden says 39 00:02:15,560 --> 00:02:19,000 Speaker 1: the military help is very large. The United States alone 40 00:02:19,040 --> 00:02:23,280 Speaker 1: has provided ten anti armor systems for every one Russian 41 00:02:23,360 --> 00:02:27,200 Speaker 1: tank that's in Ukraine. Biden says help is on the way. 42 00:02:27,280 --> 00:02:30,480 Speaker 1: In San Francisco, I'm at Baxter Bloomberg Daybreak right and 43 00:02:30,560 --> 00:02:33,080 Speaker 1: thank you by those so called goes to Durrones could 44 00:02:33,080 --> 00:02:36,040 Speaker 1: be enough to take out a massive tank assault by Russia. 45 00:02:36,080 --> 00:02:39,200 Speaker 1: And that's according to retired Brigadier General Mark kimmittt He 46 00:02:39,360 --> 00:02:43,480 Speaker 1: says Ukraine still needs more. We may be over selling 47 00:02:43,600 --> 00:02:47,200 Speaker 1: the capabilities of the artillery that we're sending in. That 48 00:02:47,280 --> 00:02:50,200 Speaker 1: much artillery and that much ammunition is great, but it's 49 00:02:50,240 --> 00:02:52,520 Speaker 1: not a silver bullet and it's not going to change 50 00:02:52,560 --> 00:02:55,360 Speaker 1: the tide of the war. Retired General Mark Kimmitt spoke 51 00:02:55,400 --> 00:02:58,640 Speaker 1: to our Washington corresponded Joe Matthew on Bloomberry Sound On. 52 00:02:58,800 --> 00:03:00,880 Speaker 1: You can catch the program we days at five pm 53 00:03:00,919 --> 00:03:03,680 Speaker 1: Eastern on Bloomberg Radio, and we also cut up with 54 00:03:03,720 --> 00:03:07,119 Speaker 1: former Secretary of Stage John Kerry. He says the US 55 00:03:07,120 --> 00:03:10,680 Speaker 1: and its allies have provided significant support. I think the 56 00:03:10,720 --> 00:03:14,840 Speaker 1: reinforcement of efforts in the Baltics. I think the movement 57 00:03:14,880 --> 00:03:18,320 Speaker 1: by Finland and Sweden to consider being in Pardonato, etcetera. 58 00:03:19,160 --> 00:03:22,680 Speaker 1: All of those are very important measures, and hopefully we 59 00:03:22,720 --> 00:03:26,160 Speaker 1: can do it in a way that still gives President 60 00:03:26,200 --> 00:03:29,720 Speaker 1: Putin an off ramp. And John Kerry, now Special Presidential 61 00:03:29,800 --> 00:03:32,720 Speaker 1: Envoy for Climate, spoke with Bloomberg Television from the m 62 00:03:32,760 --> 00:03:36,120 Speaker 1: i T Climate Grand Challenges event in Boston, and speaking 63 00:03:36,120 --> 00:03:39,680 Speaker 1: of climate parent, today is Earth Day. President Biden is 64 00:03:39,760 --> 00:03:42,400 Speaker 1: using it to sign an executive order named at protecting 65 00:03:42,440 --> 00:03:45,640 Speaker 1: old growth Forests. Amy Morris has that story from our 66 00:03:45,680 --> 00:03:49,960 Speaker 1: Bloomberg newsroom in Washington. The federal government will inventory the 67 00:03:50,000 --> 00:03:53,280 Speaker 1: old growth forests on federal lands, analyze the threats, and 68 00:03:53,320 --> 00:03:57,080 Speaker 1: create policies to reduce those risks. Last year's infrastructure bill 69 00:03:57,120 --> 00:04:00,640 Speaker 1: allocated eight billion dollars in forest and land man sachment funds, 70 00:04:00,680 --> 00:04:03,840 Speaker 1: plus another five point seven billion for wild buyer management. 71 00:04:04,240 --> 00:04:06,760 Speaker 1: This work will help them decide how best to spend 72 00:04:06,760 --> 00:04:09,680 Speaker 1: that money. It will also require the government to increase 73 00:04:09,800 --> 00:04:13,600 Speaker 1: seed collection and nursery capacity for replanting after a wild 74 00:04:13,680 --> 00:04:17,200 Speaker 1: buyer in Washington. I maybe more as Bloomberg daybreak. All right, Amy, 75 00:04:17,240 --> 00:04:19,359 Speaker 1: thank you about turning to the economy, FED cher J. 76 00:04:19,480 --> 00:04:22,640 Speaker 1: Powell has outlined his most aggressive approach to taming inflation 77 00:04:22,720 --> 00:04:25,680 Speaker 1: to date. He has potentially endorsed two or more half 78 00:04:25,720 --> 00:04:29,440 Speaker 1: percentage point interest rate increases. It is appropriate in my 79 00:04:29,520 --> 00:04:31,359 Speaker 1: view to be moving a little more quickly, and I 80 00:04:31,400 --> 00:04:34,080 Speaker 1: also I also think there's something in the idea of 81 00:04:34,200 --> 00:04:37,919 Speaker 1: front end loading whatever accommodation one thinks is appropriate. So 82 00:04:37,920 --> 00:04:40,640 Speaker 1: so that does point points in the direction of of 83 00:04:40,720 --> 00:04:43,640 Speaker 1: fifty basis points being on the table. Certainly we make 84 00:04:43,680 --> 00:04:45,640 Speaker 1: these decisions at the meeting and will make a meeting 85 00:04:45,640 --> 00:04:47,760 Speaker 1: by meeting, But I would say that fifty basis points 86 00:04:47,760 --> 00:04:49,839 Speaker 1: will be on the table for the main meeting, and J. 87 00:04:50,000 --> 00:04:52,560 Speaker 1: Powell and the FED make their interest rate decision on 88 00:04:52,640 --> 00:04:55,480 Speaker 1: May fourth. Well, that hockey is powell towncar and sent 89 00:04:55,640 --> 00:04:59,159 Speaker 1: ripples through markets. The policy sensitive two year yield climbed 90 00:04:59,200 --> 00:05:02,680 Speaker 1: to its highest leve since late The NASDAC wiped out 91 00:05:02,720 --> 00:05:05,679 Speaker 1: an early two percent gain only two drop two percent. 92 00:05:06,160 --> 00:05:09,680 Speaker 1: The sp F fell one and a half percent. Amanda Gotti, 93 00:05:09,800 --> 00:05:12,440 Speaker 1: chief investment officer at p n C, said management says 94 00:05:12,440 --> 00:05:16,159 Speaker 1: the FED is spooking investors. The one thing that keeps 95 00:05:16,200 --> 00:05:19,320 Speaker 1: me up at night, more than anything else is that 96 00:05:19,400 --> 00:05:22,880 Speaker 1: the FED is fighting effectively the wrong battle. That is, 97 00:05:22,920 --> 00:05:26,680 Speaker 1: they end up tightening policy, whether in the form of 98 00:05:26,680 --> 00:05:31,159 Speaker 1: interest rate increases or q T way too aggressively to 99 00:05:31,240 --> 00:05:34,920 Speaker 1: the point where that's what flowsed growth meetings p n C, 100 00:05:35,160 --> 00:05:37,840 Speaker 1: said Management ce oh Amanda Gott. He made the comments 101 00:05:37,880 --> 00:05:40,160 Speaker 1: on Bloomberg Business Week. You can catch that program on 102 00:05:40,200 --> 00:05:44,279 Speaker 1: Bloomberg Radio weekday afternoons at two pm All Street Time. Well, Nathan, 103 00:05:44,320 --> 00:05:46,600 Speaker 1: the enn is rising this morning. The move comes after 104 00:05:46,600 --> 00:05:50,080 Speaker 1: the Finance Minister of Japan said he discussed recent abrupt 105 00:05:50,200 --> 00:05:53,839 Speaker 1: moves in the currency with Treasury Secretary Janet Yellen. He said, 106 00:05:53,839 --> 00:05:56,200 Speaker 1: the two a great to uphold existing for an exchange 107 00:05:56,279 --> 00:05:59,520 Speaker 1: rate agreement. And we'll talk live later this morning with 108 00:05:59,640 --> 00:06:01,920 Speaker 1: Janet Yell. And and and that's coming up at thy am 109 00:06:01,960 --> 00:06:04,960 Speaker 1: All Street Time on both Bloomberg Radio and television. Turning 110 00:06:05,000 --> 00:06:07,320 Speaker 1: to corporate news this morning, Elon Musk's attempt to buy 111 00:06:07,320 --> 00:06:10,360 Speaker 1: Twitter has gotten a lot more real. Let's get the 112 00:06:10,440 --> 00:06:13,839 Speaker 1: latest live from Bloomberg Ornia Young, Good morning, Nita, Good morning, Nathan. 113 00:06:13,960 --> 00:06:16,680 Speaker 1: Elon Musk said last week that fifty four dollars and 114 00:06:16,720 --> 00:06:19,400 Speaker 1: twenty cents his share was his best and final offer 115 00:06:19,440 --> 00:06:22,880 Speaker 1: to take Twitter private. Financing was not spelled out then, 116 00:06:23,040 --> 00:06:24,960 Speaker 1: and it was hard to tell whether Musk would follow 117 00:06:24,960 --> 00:06:28,520 Speaker 1: through with the offer until yesterday, when Musk announced in 118 00:06:28,520 --> 00:06:31,480 Speaker 1: a filing that he secured forty six point five billion 119 00:06:31,520 --> 00:06:34,720 Speaker 1: dollars in funding. Close to twenty six billion dollars of 120 00:06:34,800 --> 00:06:37,440 Speaker 1: that would be debt financing from Morgan Stanley and other 121 00:06:37,480 --> 00:06:40,880 Speaker 1: investment banks, and Musk is contributing twenty one billion of 122 00:06:40,960 --> 00:06:45,080 Speaker 1: his own money through equity financing. Bloomberg calculations show the 123 00:06:45,160 --> 00:06:48,760 Speaker 1: financing Musk secured is about nine billion dollars more than 124 00:06:48,800 --> 00:06:51,960 Speaker 1: what he would need to acquire of Twitter that he 125 00:06:52,000 --> 00:06:55,360 Speaker 1: does not already own, and it signals that he might 126 00:06:55,520 --> 00:06:58,160 Speaker 1: go higher. Live in New York, I'm renned a young 127 00:06:58,200 --> 00:07:00,840 Speaker 1: Bloomberg day Break need to thank you, and Frances issued 128 00:07:00,880 --> 00:07:03,840 Speaker 1: an international restaurrant for the former head of Nissan and Renault, 129 00:07:03,920 --> 00:07:06,840 Speaker 1: Carlos Gone. Four others are also being sought for allegedly 130 00:07:06,880 --> 00:07:10,120 Speaker 1: helping Going siphon millions from the French automaker Renault. Going 131 00:07:10,320 --> 00:07:13,160 Speaker 1: now lives in Lebanon after a daring escape from Japan, 132 00:07:13,600 --> 00:07:17,600 Speaker 1: where he faced charges of financial wrongdoing. Local headlines and 133 00:07:17,800 --> 00:07:24,280 Speaker 1: sports up next. This is Bloomberg South five oh seven 134 00:07:24,400 --> 00:07:27,400 Speaker 1: on Wall Street. We're seeing a vehicle fire east found 135 00:07:27,440 --> 00:07:29,880 Speaker 1: Route eighty nearing five. We got the details on that 136 00:07:29,920 --> 00:07:32,480 Speaker 1: in traffic in just a few minutes. First, Michael Barr 137 00:07:32,600 --> 00:07:34,120 Speaker 1: is here with more on what's going on in New 138 00:07:34,200 --> 00:07:36,960 Speaker 1: York and around the world. Good morning, Michael, Good morning Nathan. 139 00:07:37,000 --> 00:07:39,560 Speaker 1: The man arrested of the stabbing death of the Queen's 140 00:07:39,600 --> 00:07:43,040 Speaker 1: mother was a reign late last night where Sola Gull 141 00:07:43,240 --> 00:07:46,280 Speaker 1: was found stuffed into a duffle bag blocks from her 142 00:07:46,320 --> 00:07:49,960 Speaker 1: home and Forest Hills after she was stabbed almost sixty times. 143 00:07:50,360 --> 00:07:53,120 Speaker 1: N y p d s Chief of Detectives James Essex 144 00:07:53,160 --> 00:07:56,240 Speaker 1: says the suspect, David Benola, and the victim had an 145 00:07:56,240 --> 00:07:59,400 Speaker 1: intimate relationship for over a year and had an argument 146 00:07:59,400 --> 00:08:03,480 Speaker 1: at Gall's home Saturday night. A heated argument ensues between 147 00:08:03,480 --> 00:08:07,200 Speaker 1: the two in the basement, a knife is brandished, A 148 00:08:07,360 --> 00:08:13,040 Speaker 1: violent struggle ensues, resulting at all victim being stabbed. Chief 149 00:08:13,160 --> 00:08:16,960 Speaker 1: Essex says Manola, described as a handyman, faces charges of 150 00:08:17,000 --> 00:08:20,680 Speaker 1: second degree murdered, criminal tampering, and possession of a weapon. 151 00:08:21,080 --> 00:08:24,000 Speaker 1: A panel of New York Appellate judges rule at state 152 00:08:24,040 --> 00:08:29,200 Speaker 1: democrats engaged in gerrymandering when drawing new congressional district boundaries 153 00:08:29,240 --> 00:08:32,240 Speaker 1: for the next decade. In a divided three to ruling, 154 00:08:32,280 --> 00:08:36,480 Speaker 1: the majority found the congressional map was unconstitutional. If upheld, 155 00:08:36,480 --> 00:08:39,120 Speaker 1: the ruling would block the use of those district lines 156 00:08:39,360 --> 00:08:43,840 Speaker 1: for the upcoming midterm elections in November. Florida's Republican controlled 157 00:08:43,920 --> 00:08:47,920 Speaker 1: legislature has cleared to measure the Strip Disney of itself 158 00:08:48,080 --> 00:08:51,840 Speaker 1: governance privileges in the state, escalating a few between Governor 159 00:08:51,920 --> 00:08:55,360 Speaker 1: Round the Santis and the entertainment giant. The House approved 160 00:08:55,360 --> 00:08:58,280 Speaker 1: the bill yesterday. It was passed by the Senate on Wednesday. 161 00:08:58,760 --> 00:09:01,720 Speaker 1: Now goes to the sand Just for his signature. Disney 162 00:09:01,760 --> 00:09:05,000 Speaker 1: criticized a law critics called that don't say gay measure. 163 00:09:05,520 --> 00:09:09,240 Speaker 1: House Republican leader Kevin McCarthy told other GOP lawmakers shortly 164 00:09:09,280 --> 00:09:13,400 Speaker 1: after the January s Capitol riot that he would urge 165 00:09:13,400 --> 00:09:16,760 Speaker 1: then President Donald Trump to resign. That's according to an 166 00:09:16,760 --> 00:09:19,920 Speaker 1: audio recording posted by The New York Times. The Times 167 00:09:19,960 --> 00:09:22,720 Speaker 1: reports that the audio is a recording of a January 168 00:09:22,800 --> 00:09:26,760 Speaker 1: tenth conversation among House GOP leaders in which they discussed 169 00:09:26,760 --> 00:09:31,040 Speaker 1: the Democratic effort to remove Trump from office. I would 170 00:09:31,080 --> 00:09:34,400 Speaker 1: have with him is that I think this will pass 171 00:09:34,679 --> 00:09:36,680 Speaker 1: and it will be my recommendation we should be done. 172 00:09:37,040 --> 00:09:40,600 Speaker 1: Earlier yesterday, after the Time has published its initial story 173 00:09:40,640 --> 00:09:44,640 Speaker 1: describing the conversation, McCarthy released a statement calling it totally 174 00:09:44,679 --> 00:09:47,920 Speaker 1: false and wrong. Global News twenty four hours a day 175 00:09:48,000 --> 00:09:51,240 Speaker 1: on air and on Bloomberg Quicktake, powered by more than 176 00:09:52,240 --> 00:09:54,719 Speaker 1: journalists and analysts more than a hundred twenty countries. H 177 00:09:54,880 --> 00:10:02,560 Speaker 1: Michael Barron, this is Bloomberg, Nathan, Thank you, Michael. Almost 178 00:10:02,559 --> 00:10:04,959 Speaker 1: five ten on All Street Time for the Bloomberg Sports Upday. 179 00:10:04,960 --> 00:10:07,360 Speaker 1: Good Friday morning, John Stenshun, All right, Nathan, thanks to 180 00:10:07,480 --> 00:10:10,280 Speaker 1: Miguel Cabrera three hits Wednesday night that got out of 181 00:10:10,320 --> 00:10:13,320 Speaker 1: the two thousand, nine hundred and ninety nine for his career. 182 00:10:13,320 --> 00:10:15,400 Speaker 1: So fairly decent crowd on hand for a mattenee and 183 00:10:15,400 --> 00:10:19,000 Speaker 1: Detroit's chance to see Cabrera become the thirty third member 184 00:10:19,000 --> 00:10:21,040 Speaker 1: of the three thousand hit club. He went over three 185 00:10:21,040 --> 00:10:23,800 Speaker 1: against the Yankees. Jordan Montgomery had one more chance came 186 00:10:23,880 --> 00:10:26,000 Speaker 1: up in the eighth and eight with Detroit leading one 187 00:10:26,040 --> 00:10:29,880 Speaker 1: to nothing. Aaron Brune walked Cabrera intentionally that loaded the 188 00:10:29,880 --> 00:10:34,000 Speaker 1: bases for Austin Meadows up shallow left center. Will it 189 00:10:34,160 --> 00:10:39,240 Speaker 1: drop well? Two runs are in and Miguel Cabrera will 190 00:10:39,240 --> 00:10:42,959 Speaker 1: make it over the third Austin Meadows drops up pop 191 00:10:43,040 --> 00:10:45,679 Speaker 1: up in the shadow left center. Two runs score on 192 00:10:45,720 --> 00:10:49,120 Speaker 1: the Tiger's ticket, three nothing leading and Detroit called Tigers 193 00:10:49,160 --> 00:10:52,720 Speaker 1: one three nothing. Tiger fans voiced their displeasure with Boone's decision, 194 00:10:52,760 --> 00:10:55,040 Speaker 1: but the Tigers are home this weekend, so Cabrera should 195 00:10:55,080 --> 00:10:57,600 Speaker 1: still be able to reach the milestone at home. Yankees 196 00:10:57,640 --> 00:11:00,760 Speaker 1: come home seven and six, shutout twice in their last 197 00:11:00,760 --> 00:11:03,319 Speaker 1: four games, matter ten and four. They played fourth series 198 00:11:03,600 --> 00:11:05,360 Speaker 1: they've won them all. Took three or four for the 199 00:11:05,360 --> 00:11:07,560 Speaker 1: Giants of six to win at City Fields. Drum pitching 200 00:11:07,600 --> 00:11:11,400 Speaker 1: from Carlos Carrasco, home runs by Francisco Lindor and edwardo 201 00:11:11,600 --> 00:11:13,880 Speaker 1: Escobar at the Ubs Arena. What a first period for 202 00:11:13,920 --> 00:11:17,400 Speaker 1: the Rangers Andrew Coppa first period hat trick. Rangers beat 203 00:11:17,480 --> 00:11:19,719 Speaker 1: Theolanders six to three, so they didn't get a fourth 204 00:11:19,760 --> 00:11:21,600 Speaker 1: grade shutout, but they didn't get a fourth strade win, 205 00:11:21,960 --> 00:11:25,000 Speaker 1: and they remained two points behind Carolina NBA Playoffs. Huge 206 00:11:25,040 --> 00:11:28,360 Speaker 1: comeback by Memphis at Minnesota, actually two of them trailed 207 00:11:28,360 --> 00:11:31,240 Speaker 1: by twenty six, cut it to seven, went back behind 208 00:11:31,240 --> 00:11:34,600 Speaker 1: by twenty five. Grisley still one lead the series too one, 209 00:11:34,720 --> 00:11:37,600 Speaker 1: Dallas one at Utah for two one lead, Golden State 210 00:11:37,640 --> 00:11:40,360 Speaker 1: wanted Denver and the Warriors are up three nothing, John Stash, 211 00:11:40,400 --> 00:11:43,199 Speaker 1: I weren't Bloomberg Sports all right? John? Thanks right now. 212 00:11:43,280 --> 00:11:46,560 Speaker 1: SMP futures are down five point, staff futures down fifty seven, 213 00:11:46,640 --> 00:11:49,560 Speaker 1: NASTAC futures are lower by ten points the ten Your 214 00:11:49,600 --> 00:11:51,920 Speaker 1: treasury is down ten thirty seconds now with a yield 215 00:11:52,000 --> 00:11:54,400 Speaker 1: two point nine five percent to yield on the thirties 216 00:11:54,400 --> 00:11:56,719 Speaker 1: two point nine five as well yield on the two 217 00:11:56,800 --> 00:12:00,200 Speaker 1: year two point seven six percent. You're listening. It's a 218 00:12:00,240 --> 00:12:08,400 Speaker 1: Bloomberg day Break. Bloomberg day Break brought to you by 219 00:12:08,440 --> 00:12:10,280 Speaker 1: the New York Community Trust. Your name will live on 220 00:12:10,320 --> 00:12:12,280 Speaker 1: as a champion of the causes you care about for 221 00:12:12,400 --> 00:12:14,480 Speaker 1: years to come through a charitable bequest to the New 222 00:12:14,559 --> 00:12:17,920 Speaker 1: York Community Trust. Learn more at Philanthropists dot n y C. 223 00:12:22,440 --> 00:12:25,840 Speaker 1: Markets headlines and breaking news twenty four hours a day 224 00:12:25,960 --> 00:12:29,560 Speaker 1: at Bloomberg dot com, the Bloomberg Business Outland at Bloomberg 225 00:12:29,600 --> 00:12:38,520 Speaker 1: Quick Tape. This is a Bloomberg business flash and I'm 226 00:12:38,600 --> 00:12:41,920 Speaker 1: caer in Moscow. US treasuries are tumbling in US DOT 227 00:12:41,960 --> 00:12:45,959 Speaker 1: Index futures are lower as investors way Federal Reserve Chair 228 00:12:46,080 --> 00:12:49,960 Speaker 1: Jerome Powell's willingness to embrace bigger rate hikes earlier in 229 00:12:49,960 --> 00:12:52,720 Speaker 1: the tightening cycle. We check the markets every fifteen minutes 230 00:12:52,720 --> 00:12:55,720 Speaker 1: throughout the trading day on bloomberg S and P futures 231 00:12:55,760 --> 00:12:59,480 Speaker 1: down five points down, futures down fifty one, NASDACK futures 232 00:12:59,480 --> 00:13:01,880 Speaker 1: down about hen the decks in Germany's down one at 233 00:13:01,880 --> 00:13:05,040 Speaker 1: a quarter percent ten. Your treasury down ten thirty seconds, 234 00:13:05,120 --> 00:13:07,240 Speaker 1: held two point nine five percent, the yield down the 235 00:13:07,320 --> 00:13:10,559 Speaker 1: two year two point seven seven percent nine max screwed 236 00:13:10,559 --> 00:13:13,440 Speaker 1: oil is falling down two percent, down two dollars three 237 00:13:13,440 --> 00:13:15,719 Speaker 1: cents at a hundred one dollar seventy seven cents of 238 00:13:15,760 --> 00:13:18,439 Speaker 1: barrel comex golled down two tenths per cent, or three 239 00:13:18,480 --> 00:13:21,840 Speaker 1: dollars sixty cents at nineteen forty four sixty announced. The 240 00:13:21,920 --> 00:13:24,640 Speaker 1: Euro one point eight oh six against the dollar, British 241 00:13:24,640 --> 00:13:27,080 Speaker 1: pound one point two eight nine five, the yen at 242 00:13:27,120 --> 00:13:30,520 Speaker 1: one eight point four or six, and Bitcoin this morning 243 00:13:30,600 --> 00:13:33,800 Speaker 1: lower down four tenths percent at forty thousand, four hundred 244 00:13:33,800 --> 00:13:37,560 Speaker 1: fifty five dollars. American Express and Verizon are among companies 245 00:13:37,559 --> 00:13:40,960 Speaker 1: scheduled to report earnings today. And that's a Bloomberg business flash. 246 00:13:41,000 --> 00:13:43,120 Speaker 1: Now here's Michael Barr with more on what's going on 247 00:13:43,160 --> 00:13:45,719 Speaker 1: around the world. Michael, good morning, Good morning, Karen. New 248 00:13:45,800 --> 00:13:48,800 Speaker 1: satellite images show would appear to be mass graves New 249 00:13:48,880 --> 00:13:53,360 Speaker 1: Maruple in southern Ukraine. Local officials are accusing Russia of 250 00:13:53,400 --> 00:13:56,960 Speaker 1: burying up to nine thousand civilians there in an effort 251 00:13:56,960 --> 00:13:59,439 Speaker 1: to conceal the slaughter taking place in the siege of 252 00:13:59,520 --> 00:14:02,600 Speaker 1: the ports at a Shanghai val to step up enforcement 253 00:14:02,679 --> 00:14:05,880 Speaker 1: of lockdown measures to stamp out community spread in the 254 00:14:05,880 --> 00:14:10,640 Speaker 1: country's worst virus outbreak, The city reported eleven COVID nineteen 255 00:14:10,760 --> 00:14:14,440 Speaker 1: deaths yesterday, it's highest one day toll so far. In 256 00:14:14,480 --> 00:14:17,480 Speaker 1: the NBA playoffs, the Warriors beat the Nuggets one eighteen, 257 00:14:17,480 --> 00:14:20,440 Speaker 1: one thirteen to take a commanding three games to zip 258 00:14:20,520 --> 00:14:24,120 Speaker 1: lead in that series. In MLB, the Yankees, Red Sox 259 00:14:24,120 --> 00:14:26,880 Speaker 1: and Nationals lost. The Mets beat the Giant six to 260 00:14:27,120 --> 00:14:29,960 Speaker 1: the A's beat the Orioles six four. In the NHL, 261 00:14:30,040 --> 00:14:32,720 Speaker 1: the Rangers beat the Islanders six three the Devil's and 262 00:14:32,840 --> 00:14:36,360 Speaker 1: Bruins Lost. Global News twenty four hours a day on 263 00:14:36,600 --> 00:14:39,680 Speaker 1: air and on Bloomberg Quick Take, powered by more than 264 00:14:40,400 --> 00:14:43,000 Speaker 1: hundred journalists and analysts more than a hundred twenty countries. 265 00:14:43,160 --> 00:14:46,040 Speaker 1: I'm Michael Barr, and this is Bloomberg Nathan. All right, Michael, 266 00:14:46,080 --> 00:14:48,760 Speaker 1: thank you. We are live from the Bloomberg Interactive Brokers 267 00:14:48,840 --> 00:14:51,800 Speaker 1: studios where it's coming up to five twenty on Wall Street. 268 00:14:51,840 --> 00:14:54,120 Speaker 1: We want to get more now on the war. For that, 269 00:14:54,160 --> 00:14:57,080 Speaker 1: we're joined by Mark Champion, Bloomberg News Senior reporter for 270 00:14:57,120 --> 00:15:00,520 Speaker 1: International Affairs. Mark, it's good to have you with again 271 00:15:00,600 --> 00:15:03,720 Speaker 1: this morning. And Um, as Michael Barr just mentioned, there 272 00:15:03,960 --> 00:15:08,600 Speaker 1: is apparent evidence here potentially more atrocities now centered on 273 00:15:08,680 --> 00:15:11,880 Speaker 1: the key southern ports city of Mariopol. That's where a 274 00:15:11,880 --> 00:15:15,120 Speaker 1: lot of the focus has been over the last few days. 275 00:15:15,160 --> 00:15:18,520 Speaker 1: What do we know about the status of the civilians 276 00:15:18,600 --> 00:15:20,720 Speaker 1: and the troops that have been holed up in that 277 00:15:20,920 --> 00:15:26,040 Speaker 1: steel plant in Mariopol for days now? Um? Yeah, we 278 00:15:26,040 --> 00:15:30,080 Speaker 1: we basically know that the siege, which went on for 279 00:15:30,760 --> 00:15:35,840 Speaker 1: fifty two days now, uh is over more or less 280 00:15:36,040 --> 00:15:40,200 Speaker 1: except in the steel plant. UH. And at the steel plant, 281 00:15:40,240 --> 00:15:46,080 Speaker 1: you've got somewhere around two thousand troops, around five hundred 282 00:15:46,120 --> 00:15:49,240 Speaker 1: of them is supposed to be injured. UM. And then 283 00:15:49,320 --> 00:15:53,560 Speaker 1: you have uh several hundred up to a thousand uh 284 00:15:53,680 --> 00:15:59,880 Speaker 1: civilians that has now been closed off. The President poots 285 00:16:00,040 --> 00:16:05,680 Speaker 1: In yesterday told his generals not to storm it um 286 00:16:05,800 --> 00:16:09,720 Speaker 1: and instead to seal it uh. And it's still being 287 00:16:09,800 --> 00:16:14,600 Speaker 1: shelled um. But otherwise, the Russians are in control of 288 00:16:14,640 --> 00:16:18,320 Speaker 1: the city. And the real concern of the Ukrainians They've 289 00:16:18,360 --> 00:16:21,000 Speaker 1: been saying this for a while, is that because they're 290 00:16:21,040 --> 00:16:24,520 Speaker 1: in full control of the city, because there's no independent 291 00:16:24,600 --> 00:16:29,480 Speaker 1: media there, uh, they will be able to uh cover 292 00:16:29,640 --> 00:16:32,440 Speaker 1: up war crimes that may have been committed. They will 293 00:16:32,480 --> 00:16:36,080 Speaker 1: also be able to try and shape evidence to suggest 294 00:16:36,200 --> 00:16:40,440 Speaker 1: that that the Ukrainians committed crimes. Uh. And you know this, 295 00:16:40,600 --> 00:16:45,120 Speaker 1: this satellite image of uh, you know, mass graves. UM. 296 00:16:45,280 --> 00:16:47,760 Speaker 1: We knew there were mass graves already. This appears to 297 00:16:47,800 --> 00:16:52,360 Speaker 1: be new UM. And so the the Ukrainians have suggested 298 00:16:52,440 --> 00:16:56,400 Speaker 1: that they're basically the Russians are trying to bury evidence 299 00:16:56,480 --> 00:17:00,600 Speaker 1: that they've brought in mobile crematoriums to burn bodies UM. 300 00:17:01,080 --> 00:17:05,800 Speaker 1: And unfortunately none of this can be independently verified. At 301 00:17:05,800 --> 00:17:09,520 Speaker 1: the moment. Now, if the tide does turn the Russians 302 00:17:09,600 --> 00:17:12,560 Speaker 1: way and they do take full control of Marya Pole, 303 00:17:12,640 --> 00:17:16,159 Speaker 1: we do have more weapons shipments coming from the US 304 00:17:16,200 --> 00:17:19,200 Speaker 1: and allies to Ukraine. Is it going to be enough 305 00:17:19,720 --> 00:17:25,280 Speaker 1: to give the Ukrainians a bit more of an advantage? Uh? 306 00:17:25,320 --> 00:17:27,680 Speaker 1: That we I mean they will. It will get them 307 00:17:27,680 --> 00:17:32,000 Speaker 1: more of an advantage in the their ability to hold 308 00:17:32,000 --> 00:17:39,480 Speaker 1: off an attack by a vastly better equipped military, which 309 00:17:39,520 --> 00:17:42,760 Speaker 1: is the Russians. Um. But whether it will be enough 310 00:17:43,800 --> 00:17:47,720 Speaker 1: to allow them to really stop the assault or even 311 00:17:47,760 --> 00:17:51,480 Speaker 1: turn it back and return the Russians to where they 312 00:17:51,520 --> 00:17:55,320 Speaker 1: were on February when the invasion began, that's a completely 313 00:17:55,320 --> 00:17:58,560 Speaker 1: different question. And there are really several issues there. First 314 00:17:58,560 --> 00:18:00,960 Speaker 1: of all, can it be done fast enough? Uh? The 315 00:18:00,960 --> 00:18:04,840 Speaker 1: assault has already begun. Uh. Secondly, will it be the 316 00:18:04,960 --> 00:18:08,680 Speaker 1: right stuff? Uh? You know, and that is changing the 317 00:18:08,800 --> 00:18:10,840 Speaker 1: sort of qualitative nature of the weapons that are being 318 00:18:10,880 --> 00:18:15,320 Speaker 1: sent is changing fairly quickly to become much heavier um. 319 00:18:15,359 --> 00:18:17,920 Speaker 1: And the third is will there be enough in quantity 320 00:18:18,560 --> 00:18:20,919 Speaker 1: because this kind of camp, this is a full sized 321 00:18:21,000 --> 00:18:25,679 Speaker 1: war um, and this kind of campaign really does burn 322 00:18:25,800 --> 00:18:29,800 Speaker 1: up munitions at an enormous rate. Now we only have 323 00:18:29,800 --> 00:18:32,359 Speaker 1: about a minute left here, Mark, what's the balance that 324 00:18:32,440 --> 00:18:35,800 Speaker 1: the US and allies need to strike here with the 325 00:18:35,880 --> 00:18:39,240 Speaker 1: types of weapons that they are sending changing. What's the 326 00:18:39,280 --> 00:18:43,320 Speaker 1: concern that that could be perceived by Russia as more 327 00:18:43,440 --> 00:18:49,200 Speaker 1: of a direct conflict between Russia and the West. Well, 328 00:18:49,480 --> 00:18:54,320 Speaker 1: you know in their discussions and rhetoric in Moscow already. Uh, 329 00:18:54,520 --> 00:18:59,080 Speaker 1: you know, it is basically being portrayed as a war 330 00:18:59,200 --> 00:19:01,879 Speaker 1: not between Russia and Ukraine, but a war between Russia 331 00:19:01,920 --> 00:19:05,199 Speaker 1: and NATO. UM. And that you know is on the 332 00:19:05,520 --> 00:19:07,880 Speaker 1: you know one had is convenient for the Russians, um, 333 00:19:08,040 --> 00:19:10,520 Speaker 1: But on the other, yes, there's a lot of concerned 334 00:19:10,560 --> 00:19:13,960 Speaker 1: that that if that balance gets tipped too far. You 335 00:19:14,040 --> 00:19:16,680 Speaker 1: had Schultz the gentleman chancellor today, So we have to 336 00:19:16,720 --> 00:19:19,080 Speaker 1: make sure that this does not become a wool with 337 00:19:19,200 --> 00:19:24,320 Speaker 1: NATO at potential nuclear war. Mark Champion, Bloomberg News. As always, 338 00:19:24,400 --> 00:19:27,639 Speaker 1: thanks for bringing us your insights. Bloomberg News Senior reporter 339 00:19:27,720 --> 00:19:31,639 Speaker 1: for International Affairs, Mark Champion with us this morning. Looking 340 00:19:31,640 --> 00:19:34,440 Speaker 1: ahead to the market open on this Friday. Futures are 341 00:19:34,440 --> 00:19:37,320 Speaker 1: moving lower. We have SMP futures down down eight point, 342 00:19:37,359 --> 00:19:40,719 Speaker 1: Staff futures down sixty five NASTAC futures are lower by 343 00:19:40,720 --> 00:19:43,080 Speaker 1: twenty four points. The ten your Treasury is down eight 344 00:19:43,119 --> 00:19:46,399 Speaker 1: thirty seconds. The yield two point nine four percent, yield 345 00:19:46,400 --> 00:19:48,879 Speaker 1: on the two year right now two point seven five percent. 346 00:19:49,000 --> 00:19:51,440 Speaker 1: Nime X crew down one point six percent at a 347 00:19:51,520 --> 00:19:54,760 Speaker 1: hundred two dollars thirteen cents of barrel. Just ahead, the 348 00:19:54,800 --> 00:19:58,679 Speaker 1: Fed turns more hawkish, and Elon Musk lines up the 349 00:19:58,720 --> 00:20:02,200 Speaker 1: financing for Twitter, you check your top stories of the morning. 350 00:20:02,240 --> 00:20:09,800 Speaker 1: Next on Bloomberg Daybreak, Bloomberg eleven three oh weather. Sunshine 351 00:20:09,840 --> 00:20:12,320 Speaker 1: mild today with a high year seventy degrees, partly sunny, 352 00:20:12,400 --> 00:20:15,560 Speaker 1: low sixties Tomorrow. We'll be back near seventy Sunday under 353 00:20:15,560 --> 00:20:17,760 Speaker 1: a mix of sun and clouds. Right now fifty two 354 00:20:17,800 --> 00:20:25,080 Speaker 1: degrees in Central Park. Broadcasting live from the Bloomberg Interactive 355 00:20:25,119 --> 00:20:28,960 Speaker 1: Broker's studio in New York. Bloomberg E Living free to Washington, 356 00:20:29,040 --> 00:20:32,480 Speaker 1: d C. Bloomberg ninety nine one to Boston, Bloomberg one 357 00:20:32,480 --> 00:20:35,679 Speaker 1: O six one to San Francisco, Bloomberg nun sixty to 358 00:20:35,720 --> 00:20:38,840 Speaker 1: the Country, Sirius XM chto one nine te and around 359 00:20:38,840 --> 00:20:42,800 Speaker 1: the globe. The Bloomberg Business at and Bloomberg Radio dot Com. 360 00:20:42,800 --> 00:20:51,760 Speaker 1: This is Bloomberg Daybreak. It's five thirty on Wall Street. 361 00:20:51,760 --> 00:20:54,600 Speaker 1: Good morning. I'm Nathan Hager and I'm Karen Moscow. We're 362 00:20:54,720 --> 00:20:57,560 Speaker 1: just about four hours away from the open of US trading. 363 00:20:57,640 --> 00:20:58,960 Speaker 1: Let's get you up to date on the news you 364 00:20:59,000 --> 00:21:00,600 Speaker 1: need to know at this shower. Or we begin with 365 00:21:00,680 --> 00:21:04,440 Speaker 1: the war in Ukraine, where Russia's invasion continues. President buying 366 00:21:04,480 --> 00:21:07,120 Speaker 1: and announced the US will send another one point three 367 00:21:07,200 --> 00:21:11,240 Speaker 1: billion dollars in additional aid. Retired Brigadier General Mark Kimmitt 368 00:21:11,240 --> 00:21:15,040 Speaker 1: tells Bloomberg's Jeral Matthew that the ghost drones the US 369 00:21:15,160 --> 00:21:18,480 Speaker 1: is sending should give Ukraine an advantage if they do 370 00:21:18,600 --> 00:21:22,440 Speaker 1: have the capability to send out the suicide drones with 371 00:21:23,119 --> 00:21:26,240 Speaker 1: enough command and control keeping an eye on all this area, 372 00:21:26,560 --> 00:21:31,800 Speaker 1: those suicide drones could probably stop a pretty massive tank assault, 373 00:21:32,280 --> 00:21:34,840 Speaker 1: which is, as I said, the biggest thingle reward about 374 00:21:34,880 --> 00:21:38,280 Speaker 1: in that section. And retired Brigadier General Mark Kimmitt speaking 375 00:21:38,280 --> 00:21:41,719 Speaker 1: with our Washington correspondent Joe Matthew on Bloomberg Sound On. 376 00:21:41,880 --> 00:21:45,320 Speaker 1: Catch the program weekdays at five pm Eastern on Bloomberg Radio. 377 00:21:45,480 --> 00:21:48,360 Speaker 1: Turning to the economy, Karen fed Share, J Powell yesterday 378 00:21:48,400 --> 00:21:51,760 Speaker 1: outlined the Fed's plan for taming inflation. Our goal is 379 00:21:51,800 --> 00:21:54,200 Speaker 1: to is to is to get demand, use our tools 380 00:21:54,200 --> 00:21:57,040 Speaker 1: to get demand and supply back in sync so that 381 00:21:57,119 --> 00:22:00,000 Speaker 1: inflation moves down and do so without a slow down 382 00:22:00,040 --> 00:22:03,000 Speaker 1: that amounts to a recession. That's our goal. And I 383 00:22:03,440 --> 00:22:05,360 Speaker 1: don't think you'll hear anyone at the FEDS say that 384 00:22:05,359 --> 00:22:07,800 Speaker 1: that's going to be straightforward or easy. Fed share J. 385 00:22:07,920 --> 00:22:10,560 Speaker 1: Powell says a half percentage point hike is on the 386 00:22:10,600 --> 00:22:13,280 Speaker 1: table at the f MC meetings in early May. While 387 00:22:13,359 --> 00:22:15,960 Speaker 1: reacting to Powell's comments and Nounce, Dack and s n 388 00:22:16,000 --> 00:22:18,560 Speaker 1: p are down, US Treasury is tumbled and the dollar 389 00:22:18,680 --> 00:22:22,720 Speaker 1: rose to its highest level since July. Overseas, Karen, the 390 00:22:22,760 --> 00:22:25,800 Speaker 1: yen is up after Japan and Treasury Secretary Janet Yellen 391 00:22:25,880 --> 00:22:29,240 Speaker 1: agreed to uphold existing foreign exchange rate agreements. Later today, 392 00:22:29,280 --> 00:22:32,520 Speaker 1: Yellen joins US Live at eleven thirty am Wall Street 393 00:22:32,560 --> 00:22:35,720 Speaker 1: Time for an interview on both Bloomberg Radio and Bloomberg Television. 394 00:22:35,840 --> 00:22:39,200 Speaker 1: Well incorporate news. Nathan elon musk pursuit of Twitter continues. 395 00:22:39,280 --> 00:22:41,840 Speaker 1: We get the latest lie from Bloomberg's Ranita. Yeah, I'm 396 00:22:41,840 --> 00:22:44,760 Speaker 1: good morning Radio. Good morning Karen Elon. Musk said last 397 00:22:44,760 --> 00:22:47,080 Speaker 1: week that fifty four dollars and twenty cents a share 398 00:22:47,160 --> 00:22:49,920 Speaker 1: was his best and final offer to take Twitter private. 399 00:22:50,240 --> 00:22:53,600 Speaker 1: It was unclear if Musk would follow through until yesterday, 400 00:22:53,600 --> 00:22:56,560 Speaker 1: when he announced he secured forty six point five billion 401 00:22:56,600 --> 00:23:00,000 Speaker 1: dollars in funding. Almost twenty six billion of that would 402 00:23:00,040 --> 00:23:03,439 Speaker 1: be debt financing from Morgan Stanley and other investment banks, 403 00:23:03,680 --> 00:23:06,440 Speaker 1: and Musk is contributing twenty one billion of his own 404 00:23:06,520 --> 00:23:10,800 Speaker 1: money through equity financing. Bloomberg calculations show the financing Musk 405 00:23:10,920 --> 00:23:14,119 Speaker 1: secured is about nine billion dollars more than what he 406 00:23:14,160 --> 00:23:17,360 Speaker 1: would need to acquire the of Twitter that he does 407 00:23:17,400 --> 00:23:20,320 Speaker 1: not already own. Live in New York, I'm ren need 408 00:23:20,359 --> 00:23:22,639 Speaker 1: a young Bloomberg daybreak right. We need to thank you. 409 00:23:22,840 --> 00:23:25,240 Speaker 1: N SNP Future is down about six points to down 410 00:23:25,320 --> 00:23:28,000 Speaker 1: Future is down forties seven and nastag Future is down 411 00:23:28,000 --> 00:23:31,080 Speaker 1: twenty one straight and hand your latest local headlines plus 412 00:23:31,080 --> 00:23:38,800 Speaker 1: a check of sports and this is Bloomberg. Thanks Caring. 413 00:23:38,840 --> 00:23:41,160 Speaker 1: Five thirty three on Wall Street where fifty two degrees 414 00:23:41,240 --> 00:23:44,600 Speaker 1: in Central Park. Couple issues on the roads this morning. 415 00:23:44,600 --> 00:23:47,480 Speaker 1: There's an accident on the south end of Jersey Turnpike 416 00:23:47,600 --> 00:23:50,639 Speaker 1: car Lanes, Exit nine, and we're still working on a 417 00:23:50,720 --> 00:23:53,160 Speaker 1: vehicle fire. He's founder at eighty Biggs at twenty five 418 00:23:53,200 --> 00:23:55,399 Speaker 1: will get all the details for you in just a 419 00:23:55,440 --> 00:23:58,040 Speaker 1: few minutes. In traffic First, Michael Barr is here with 420 00:23:58,119 --> 00:24:00,520 Speaker 1: more on what's going on in New York and around 421 00:24:00,520 --> 00:24:03,000 Speaker 1: the world. Do money, Michael, Good Morning. Nathan, a handyman 422 00:24:03,040 --> 00:24:05,800 Speaker 1: who was arrested for killing a queen's wife and mother 423 00:24:05,840 --> 00:24:09,680 Speaker 1: of two, made a late night court appearance. David Benola 424 00:24:09,800 --> 00:24:13,760 Speaker 1: is accused of stabbing Ursula Gaul, who stabbed body was 425 00:24:13,840 --> 00:24:18,280 Speaker 1: found in a Duffel bag last Saturday. NYPD Detective Chief 426 00:24:18,400 --> 00:24:23,320 Speaker 1: James mr Bonella is a handyman who was employed by 427 00:24:23,480 --> 00:24:27,159 Speaker 1: Mrs gal. They have been having an intimate affair for 428 00:24:27,200 --> 00:24:31,639 Speaker 1: approximately two years. Chief Essex says a heated argument ensued 429 00:24:31,680 --> 00:24:34,199 Speaker 1: between the two and the basement and god will stabbed 430 00:24:34,240 --> 00:24:37,520 Speaker 1: more than fifty times. A panel of New York appellate 431 00:24:37,600 --> 00:24:42,960 Speaker 1: judges have ruled that state Democrats engaged in jerrymandering when 432 00:24:43,040 --> 00:24:46,520 Speaker 1: drawing new congressional district boundaries for the next decade. In 433 00:24:46,520 --> 00:24:49,240 Speaker 1: the divided three to ruling, the majority found the congressional 434 00:24:49,240 --> 00:24:53,440 Speaker 1: map was unconstitutional. House Republican leader Kevin McCarthy told other 435 00:24:53,480 --> 00:24:57,840 Speaker 1: GOP lawmakers shortly after the January six one Capital riot 436 00:24:58,240 --> 00:25:01,320 Speaker 1: that he would urge, then press then Donald Trump to resign. 437 00:25:01,680 --> 00:25:04,320 Speaker 1: That's according to an audio recording posted by The New 438 00:25:04,400 --> 00:25:08,000 Speaker 1: York Times. The Times reports that the audio is recording 439 00:25:08,040 --> 00:25:11,240 Speaker 1: of a January tenth conversation among House g o P 440 00:25:11,480 --> 00:25:14,399 Speaker 1: leaders in which they discussed the Democratic effort to remove 441 00:25:14,480 --> 00:25:18,320 Speaker 1: Trump from office. The only discussion I would have with 442 00:25:18,400 --> 00:25:21,760 Speaker 1: him is that I think this will pass and it 443 00:25:21,800 --> 00:25:24,840 Speaker 1: will be my recognzation you should be done. Earlier yesterday, 444 00:25:24,880 --> 00:25:28,639 Speaker 1: after The Times published its initial story describing the conversation, 445 00:25:28,720 --> 00:25:31,680 Speaker 1: McCarthy released a statement calling it totally false and wrong. 446 00:25:32,240 --> 00:25:34,800 Speaker 1: The Florida House gave final passage to a bill that 447 00:25:34,800 --> 00:25:38,840 Speaker 1: would dissolve all Disney World's private government. It escalates a 448 00:25:38,880 --> 00:25:42,520 Speaker 1: feud between Republican government around the Santis and Disney over 449 00:25:42,560 --> 00:25:45,040 Speaker 1: its opposition to a measure that critics have dubbed that 450 00:25:45,080 --> 00:25:48,719 Speaker 1: don't say Gay. Long poles show Emmanuel mccrawl is closer 451 00:25:48,720 --> 00:25:52,440 Speaker 1: to winning another term against nationalist leader Marine Leapin ahead 452 00:25:52,480 --> 00:25:56,000 Speaker 1: of the presidential runoff ballot on Sunday. The gap between 453 00:25:56,000 --> 00:25:58,480 Speaker 1: the two of them has widen since April tenth to 454 00:25:58,640 --> 00:26:03,480 Speaker 1: about twelve scentage points. Representative Marjorie Taylor Green of Georgia 455 00:26:03,520 --> 00:26:06,479 Speaker 1: will be testifying under oath today and a legal challenge 456 00:26:06,520 --> 00:26:10,840 Speaker 1: to remove her from next month's Republican primary ballot. Buying 457 00:26:10,880 --> 00:26:14,359 Speaker 1: a piece of Hollywood history had crowds lining up around 458 00:26:14,400 --> 00:26:17,840 Speaker 1: the Los Angeles home of the late Jeopardy host Alex Trebec. 459 00:26:18,280 --> 00:26:21,720 Speaker 1: Hundreds of Treback's items are on sale through Sunday, including 460 00:26:21,720 --> 00:26:24,680 Speaker 1: a director's chair with his name on it. This man 461 00:26:24,840 --> 00:26:27,240 Speaker 1: waited in line for two hours, but said the trip 462 00:26:27,359 --> 00:26:30,359 Speaker 1: was well worth it. I got myself a nice little 463 00:26:30,359 --> 00:26:33,159 Speaker 1: bottle of whiskey that I'm gonna tew s Alex Trevec 464 00:26:33,240 --> 00:26:36,320 Speaker 1: tonight when I watched Jeopardy. I got this lovely tie 465 00:26:36,600 --> 00:26:39,200 Speaker 1: on one of his canes. But I tell you, most 466 00:26:39,240 --> 00:26:41,160 Speaker 1: of the fun is just being at this house. It's 467 00:26:41,280 --> 00:26:45,320 Speaker 1: very cool. Some other items included ornate rugs, book sculptures, 468 00:26:45,320 --> 00:26:48,120 Speaker 1: and autographed and rebellion Global Name is twenty four hours 469 00:26:48,160 --> 00:26:50,119 Speaker 1: a day on air and on Bloomberg quick Take, powered 470 00:26:50,160 --> 00:26:52,199 Speaker 1: by more than twenty seven hundred journalists and analysts. More 471 00:26:52,240 --> 00:26:55,520 Speaker 1: than a hundred twenty countries and Michael bar this is Bloomberg, Nathan, 472 00:26:55,720 --> 00:27:03,200 Speaker 1: what is a great story. Thank you, Michael. Five thirty 473 00:27:03,280 --> 00:27:05,840 Speaker 1: six on Wall Street time for the Bloomberg Sports up Datus. 474 00:27:05,920 --> 00:27:08,600 Speaker 1: John Stenshowner, Thanks Daithan. Yankees are going for their first 475 00:27:08,640 --> 00:27:11,439 Speaker 1: serious swite for the season, but failed to score against 476 00:27:11,600 --> 00:27:14,480 Speaker 1: xt Yank Michael Pinata the Detroit bullpen. Tigers want three nothing. 477 00:27:14,520 --> 00:27:17,080 Speaker 1: Jordan Montgomery pitched well but lost. Yanks had a chance 478 00:27:17,119 --> 00:27:19,119 Speaker 1: eighth in ain't they were down one oftin at the 479 00:27:19,119 --> 00:27:21,399 Speaker 1: bases loaded with one outfailed to score, and then bottom 480 00:27:21,400 --> 00:27:24,320 Speaker 1: of the eight Tigers scored twice is Austin Meadows, who 481 00:27:24,320 --> 00:27:26,440 Speaker 1: always killed the Yankees while he was with Tampa Bay 482 00:27:26,800 --> 00:27:29,040 Speaker 1: bloomed in a two round double. Aaron Boone chose to 483 00:27:29,080 --> 00:27:33,119 Speaker 1: walk Miguel Cabrera intentionally to pitch the Meadows. That infuriated 484 00:27:33,160 --> 00:27:36,000 Speaker 1: Tiger fans who were there to see Cabrera get career 485 00:27:36,080 --> 00:27:38,960 Speaker 1: hit number three thousand. His Boone on his decision, it's 486 00:27:39,000 --> 00:27:41,560 Speaker 1: a baseball call all the way, you know, but but 487 00:27:42,160 --> 00:27:45,560 Speaker 1: there's no doubt that there's a little more like, you know, 488 00:27:45,760 --> 00:27:49,399 Speaker 1: feeling to it right when you're uh, you know, understanding 489 00:27:49,400 --> 00:27:52,720 Speaker 1: the situation. So um, you know, but in the end, 490 00:27:53,200 --> 00:27:55,840 Speaker 1: you gotta go with what you think is is right 491 00:27:55,960 --> 00:27:58,439 Speaker 1: within the within the context of the game. Tigers are 492 00:27:58,480 --> 00:28:00,840 Speaker 1: home this weekend, so Cabrera Beakers to still reach the 493 00:28:00,880 --> 00:28:02,919 Speaker 1: milestone at home. Yankees now come home to play the 494 00:28:02,960 --> 00:28:06,080 Speaker 1: Cleveland Guardians Tonight Mets at Arizona. They beat the Giants 495 00:28:06,080 --> 00:28:09,399 Speaker 1: at City Field six to two. Francisco Lindor continues his 496 00:28:09,520 --> 00:28:12,800 Speaker 1: hot hot start. He's added two thirty last season. Lindora's 497 00:28:12,800 --> 00:28:14,719 Speaker 1: at three oh eight, just hit his already fourth home 498 00:28:14,800 --> 00:28:16,640 Speaker 1: run of the season. Another went for the Rangers their 499 00:28:16,680 --> 00:28:19,280 Speaker 1: fourth in a row fifty feet of the season, six 500 00:28:19,359 --> 00:28:21,720 Speaker 1: three over the Islanders, as Andrew Copp had the hat 501 00:28:21,760 --> 00:28:24,240 Speaker 1: trick before the first period was over. R Timmy Panner 502 00:28:24,280 --> 00:28:26,800 Speaker 1: and assisted on all three, later got another. He's got 503 00:28:26,880 --> 00:28:30,000 Speaker 1: seventy three assist. Chris Cryder now has fifty one goals. 504 00:28:30,359 --> 00:28:33,560 Speaker 1: Rangers visit the Bruins tomorrow afternoon. The NBA Playoffs three 505 00:28:33,560 --> 00:28:36,720 Speaker 1: game threes all won by the road teams. Golden State 506 00:28:36,760 --> 00:28:39,360 Speaker 1: at Denver for a three nothing series lead, Dallas at 507 00:28:39,480 --> 00:28:41,440 Speaker 1: Utah to go up to one, and mass star LUKEA. 508 00:28:41,480 --> 00:28:44,160 Speaker 1: Donston has yet to play in this series, Memphis up 509 00:28:44,200 --> 00:28:46,840 Speaker 1: to one on Minnesota. The Grizzlies came from twenty six 510 00:28:46,920 --> 00:28:49,760 Speaker 1: down to win three more game threes tonight and then 511 00:28:49,800 --> 00:28:52,720 Speaker 1: tomorrow Nets Celtics Game three in Brooklyn, with the Celts 512 00:28:52,960 --> 00:28:55,040 Speaker 1: going for a three nothing lead. Kevin Durant looking to 513 00:28:55,120 --> 00:28:58,480 Speaker 1: shake off the two subpar games that he played in Boston. 514 00:28:58,760 --> 00:29:02,840 Speaker 1: Johns Nashwer Bloomberg Sports. Thanks John, It's on Wall Street 515 00:29:02,880 --> 00:29:05,640 Speaker 1: time for the Tri State Business Report. Here's Bloomberg Sad 516 00:29:05,680 --> 00:29:08,640 Speaker 1: Cory still looking for a Hampton's rental. It's going to 517 00:29:08,720 --> 00:29:12,360 Speaker 1: be expensive. Properties are being listed in record prices for 518 00:29:12,360 --> 00:29:16,080 Speaker 1: the summer season, with beach side mansions offered for more 519 00:29:16,120 --> 00:29:18,719 Speaker 1: than a million bucks a month. It's a bet by 520 00:29:18,840 --> 00:29:22,240 Speaker 1: landlords that demand for luxury rentals on eastern Long Island 521 00:29:22,280 --> 00:29:24,080 Speaker 1: will be hot for a third year in a row. 522 00:29:24,720 --> 00:29:27,640 Speaker 1: New Jersey's hotels are expected to see nearly nine hundred 523 00:29:27,720 --> 00:29:30,920 Speaker 1: million dollars less in revenue from business travel this year 524 00:29:30,960 --> 00:29:35,320 Speaker 1: than in the last full year before the pandemic. That's 525 00:29:35,320 --> 00:29:38,080 Speaker 1: according to a study by the American Hotel and Lodging 526 00:29:38,080 --> 00:29:44,080 Speaker 1: Association CONNECTICUTS. One step closer to enacting comprehensive consumer privacy 527 00:29:44,240 --> 00:29:47,680 Speaker 1: legislation send A Bill six was approved this week. It 528 00:29:47,720 --> 00:29:50,040 Speaker 1: would give consumers the right to opt out of the 529 00:29:50,080 --> 00:29:54,040 Speaker 1: processing and sale of their personal data and ask that 530 00:29:54,120 --> 00:29:57,640 Speaker 1: their data be deleted. Would also require companies to limit 531 00:29:57,680 --> 00:30:00,880 Speaker 1: the collection of personal data that you' Boomberg Dry State 532 00:30:00,960 --> 00:30:04,120 Speaker 1: Business Report. I'm in Corey, Thanks Ed. It's five thirty 533 00:30:04,200 --> 00:30:06,320 Speaker 1: nine on Wall Street. Bloomberg Radio is on the air 534 00:30:06,320 --> 00:30:09,000 Speaker 1: from San Francisco to New York, London to Hong Kong. 535 00:30:09,200 --> 00:30:11,160 Speaker 1: Let's check in with our global news team for some 536 00:30:11,200 --> 00:30:13,640 Speaker 1: of the top stories heard on our three hundred affiliate 537 00:30:13,720 --> 00:30:19,680 Speaker 1: radio stations around the world. I'm Steve Podascan on ten 538 00:30:19,800 --> 00:30:23,000 Speaker 1: ten Wins in New York. We're talking about alfie prices 539 00:30:23,360 --> 00:30:27,120 Speaker 1: rising again. I'm Cornitaanahoe on wo WO in Fort Wayne. 540 00:30:27,160 --> 00:30:30,920 Speaker 1: GM and hondar and talks about expanding their electric vehicle partnership. 541 00:30:31,160 --> 00:30:33,960 Speaker 1: I'm to these Peligrini And for w BBM in Chicago, 542 00:30:34,200 --> 00:30:37,560 Speaker 1: I'm reporting on hiring efforts for that new Mars Wrigley 543 00:30:37,640 --> 00:30:41,000 Speaker 1: Innovation Center. I Bed Cory on w w f J 544 00:30:41,120 --> 00:30:45,480 Speaker 1: and Detroit, I'm reporting Deloyd is downsized against downtown Detroit 545 00:30:45,560 --> 00:30:48,360 Speaker 1: office pot Grint and those are some of The stories 546 00:30:48,400 --> 00:30:51,840 Speaker 1: are hundred Bloomberg journalist and analysts working on this morning 547 00:30:51,840 --> 00:30:54,560 Speaker 1: around the world. Another story we're watching, traders are betting 548 00:30:54,560 --> 00:30:57,000 Speaker 1: the European Central Bank will kickoff and increased to borrowing 549 00:30:57,000 --> 00:30:59,920 Speaker 1: costs in three months to damp in inflation. Money Marker 550 00:31:00,000 --> 00:31:02,320 Speaker 1: so now pricing in a quarter point hike in both 551 00:31:02,480 --> 00:31:05,560 Speaker 1: July and September that would be enough to take the 552 00:31:05,560 --> 00:31:10,040 Speaker 1: ECB's deposit rate to zero. Right now, SMP features are 553 00:31:10,040 --> 00:31:13,040 Speaker 1: down seven points, dat futures down fifty three, nest Act 554 00:31:13,080 --> 00:31:15,240 Speaker 1: futures down twenty seven points. The ten your Treasury is 555 00:31:15,280 --> 00:31:18,360 Speaker 1: down eight thirty seconds, the yield two point nine. This 556 00:31:18,960 --> 00:31:24,560 Speaker 1: is Bloomberg Bloomberg eleventh three oh weather partly the mostly 557 00:31:24,560 --> 00:31:27,400 Speaker 1: sunny today with a high near seventy degrees, partly sunny, 558 00:31:27,400 --> 00:31:30,480 Speaker 1: low sixties tomorrow, upper sixties two around seventy under a 559 00:31:30,480 --> 00:31:33,360 Speaker 1: mix of sun and clouds on Sunday right now fifty 560 00:31:33,360 --> 00:31:39,200 Speaker 1: two degrees in Central Park. Markets, headlines and breaking news 561 00:31:39,280 --> 00:31:41,880 Speaker 1: twenty four hours a day at Bloomberg dot Com, the 562 00:31:41,960 --> 00:31:46,080 Speaker 1: Bloomberg Business at and at Bloomberg Quicktape. He's a Bloomberg 563 00:31:46,120 --> 00:31:55,640 Speaker 1: Business Flash and I'm Cameron Moscow and US treasuries tumbling. 564 00:31:55,720 --> 00:31:59,360 Speaker 1: US stock index futures are lower, investors weighing federal reserve 565 00:31:59,480 --> 00:32:02,760 Speaker 1: charge around Powell's willingness to embrace bigger rate hikes earlier 566 00:32:02,800 --> 00:32:05,160 Speaker 1: in the tightening cuncle. We checked the markets every fifteen 567 00:32:05,160 --> 00:32:07,920 Speaker 1: minutes throughout the trading day on Bloomberg S and P 568 00:32:08,120 --> 00:32:11,320 Speaker 1: Future is down eleven points down Future is down seventy three. 569 00:32:11,480 --> 00:32:14,520 Speaker 1: Nasdack Future is down forty nine. The decks in Germany 570 00:32:14,600 --> 00:32:16,560 Speaker 1: is down one and a half percent. The ten year 571 00:32:16,600 --> 00:32:20,000 Speaker 1: treasury down eight thirty seconds, yield two point nine four percent. 572 00:32:20,040 --> 00:32:22,640 Speaker 1: The yield on a two year two point seven five percent. 573 00:32:23,040 --> 00:32:25,760 Speaker 1: Ninemex scret oil is down one point six percent, down 574 00:32:25,800 --> 00:32:28,360 Speaker 1: a dollar sixty five and a a hundred two dollars seventeen 575 00:32:28,400 --> 00:32:31,200 Speaker 1: cents in barrel comics. Gold is down to tenths percent 576 00:32:31,280 --> 00:32:34,480 Speaker 1: or three dollar sixty cents at nineteen forty four sixty announced. 577 00:32:34,680 --> 00:32:37,240 Speaker 1: The euro one point oh eight against the dollar, British 578 00:32:37,280 --> 00:32:40,040 Speaker 1: found one point to eight six five, the yen is 579 00:32:40,040 --> 00:32:43,720 Speaker 1: at one eight point four six, and Bitcoin lower down 580 00:32:43,760 --> 00:32:47,200 Speaker 1: six tenths percent at forty thousand, three hundred seventy dollars. 581 00:32:47,440 --> 00:32:49,960 Speaker 1: That's a Bloomberg business flash now here's Michael Barrow with 582 00:32:50,080 --> 00:32:52,600 Speaker 1: more on what's going on around the world. Michael, thank 583 00:32:52,600 --> 00:32:54,560 Speaker 1: you very much. Karen. The US is sending a new 584 00:32:54,600 --> 00:32:57,720 Speaker 1: batch of military equipment to Ukraine to help that country 585 00:32:57,800 --> 00:33:01,480 Speaker 1: battle the Russian invasion. Among the new hardware our new 586 00:33:01,560 --> 00:33:06,479 Speaker 1: Phoenix Ghost drones. Philadelphia health officials say they're ending the 587 00:33:06,520 --> 00:33:10,520 Speaker 1: city's indoor mask man date abruptly, reversing course just days 588 00:33:10,560 --> 00:33:13,520 Speaker 1: after people in the city had to start wearing masks again. 589 00:33:13,920 --> 00:33:17,400 Speaker 1: Been a sharp increase in infections, according to the Philadelphia 590 00:33:17,440 --> 00:33:21,680 Speaker 1: Health Department, there has been decreasing hospitalizations and the leveling 591 00:33:21,720 --> 00:33:25,080 Speaker 1: of case counts. In the NBA Playoffs, the Warriors beat 592 00:33:25,080 --> 00:33:27,640 Speaker 1: the Nuggets one eighteen, one thirteen to take a commanding 593 00:33:27,680 --> 00:33:30,800 Speaker 1: three games to zip lead in that series. In MLB, 594 00:33:31,040 --> 00:33:33,680 Speaker 1: the Yankees, Red Sox, and Nationals lost. The Mets beat 595 00:33:33,720 --> 00:33:36,480 Speaker 1: the Giant six to the A's beat the Orioles six. Fourth. 596 00:33:36,840 --> 00:33:39,720 Speaker 1: In the NHL, the Rangers beat the Islanders six three, 597 00:33:39,760 --> 00:33:43,040 Speaker 1: the Devils and Bruins lost. Global News twenty four hours 598 00:33:43,040 --> 00:33:46,320 Speaker 1: a day on air and on Bloomberg Quicktake, powered by 599 00:33:46,360 --> 00:33:48,840 Speaker 1: more than twenty seven hundred journalists and analysts. More than 600 00:33:48,840 --> 00:33:52,240 Speaker 1: a hundred twenty countries. Michael Barr, This is Bloomberg, Nathan, Michael, 601 00:33:52,280 --> 00:33:54,520 Speaker 1: thank you. It is five forty nine on Wall Street 602 00:33:54,560 --> 00:33:57,680 Speaker 1: Life from the Bloomberg Interactive Brokers Studios. This is Bloomberg, 603 00:33:57,720 --> 00:33:59,880 Speaker 1: Dame break. Let's look at this market now. For that, 604 00:34:00,080 --> 00:34:03,840 Speaker 1: we're joined by Patrick Palfrey, cohead of Quantitative Research, senior 605 00:34:03,880 --> 00:34:07,400 Speaker 1: equity strategist at Credit Sweez. Patrick, it's always great to 606 00:34:07,400 --> 00:34:09,600 Speaker 1: speak with you. I know you've been pretty bullish on 607 00:34:09,640 --> 00:34:12,640 Speaker 1: the stock market in the past, but can the momentum 608 00:34:12,800 --> 00:34:18,200 Speaker 1: continue with a war on and a FED tightening. Well, 609 00:34:18,239 --> 00:34:20,520 Speaker 1: we think the momentum can actually continue, and I think 610 00:34:20,560 --> 00:34:23,680 Speaker 1: here investors need to be selective in the stocks that 611 00:34:23,719 --> 00:34:27,840 Speaker 1: they're looking at. What the concern really is is around deceleration. 612 00:34:27,960 --> 00:34:30,359 Speaker 1: And here's the thing. We agree with that narrative. We're 613 00:34:30,360 --> 00:34:32,640 Speaker 1: coming out of an economic bounce and there's headwinds like 614 00:34:32,680 --> 00:34:36,520 Speaker 1: you suggested, and the economy is decelerating. That's a natural 615 00:34:36,600 --> 00:34:40,759 Speaker 1: process in this economic cycle. As we move towards the 616 00:34:41,160 --> 00:34:44,200 Speaker 1: very short middle innings of the economic cycle, that's that 617 00:34:44,239 --> 00:34:47,719 Speaker 1: there's still opportunities out there. We're still seeing tremendous fundamental 618 00:34:47,719 --> 00:34:51,040 Speaker 1: strength coming from many portions of the market. Ciblicals are 619 00:34:51,080 --> 00:34:53,799 Speaker 1: at the big area where that's happening, and that's where 620 00:34:53,800 --> 00:34:56,840 Speaker 1: we're encouraging investors. Look, it's not ubiquitous in terms of 621 00:34:56,840 --> 00:34:59,440 Speaker 1: this strength, but we think there are definitely places where 622 00:34:59,440 --> 00:35:03,040 Speaker 1: investors can b and still see decent returns. So are 623 00:35:03,040 --> 00:35:06,800 Speaker 1: you thinking then that even if the FED does front 624 00:35:06,840 --> 00:35:10,680 Speaker 1: load interest rate hikes over the next few meetings, that 625 00:35:11,120 --> 00:35:14,000 Speaker 1: it won't have much of an impact on corporate earnings 626 00:35:15,400 --> 00:35:18,319 Speaker 1: from corporate earnings, we do not believe so. And and 627 00:35:18,360 --> 00:35:21,279 Speaker 1: here's the truth. Right now, we're expected to see for 628 00:35:22,680 --> 00:35:28,319 Speaker 1: nominal GDP of nine that is tremendous growth, and that's 629 00:35:28,360 --> 00:35:32,399 Speaker 1: what's propelling revenues as high. As we are. Investors are 630 00:35:32,400 --> 00:35:34,920 Speaker 1: concerned around the margin story, and we can definitely debate 631 00:35:34,960 --> 00:35:38,480 Speaker 1: how much input costs actually matter in terms of the 632 00:35:38,640 --> 00:35:40,840 Speaker 1: in terms of the pressure that people are seeing, but 633 00:35:40,960 --> 00:35:43,759 Speaker 1: in reality, with revenues that strong, you're going to see 634 00:35:44,320 --> 00:35:47,799 Speaker 1: very strong fixed cost leverage and that offsets some of 635 00:35:47,840 --> 00:35:51,360 Speaker 1: the incremental headwinds from from input costs and from labor costs, 636 00:35:51,400 --> 00:35:56,160 Speaker 1: which generally get passed on throughout the business cycle. Of course, 637 00:35:56,200 --> 00:35:59,200 Speaker 1: we've seen a flattening yield curve at times we've seen 638 00:35:59,239 --> 00:36:04,600 Speaker 1: an inverted yield curve. Is the bond market getting it wrong? Well, 639 00:36:04,680 --> 00:36:06,359 Speaker 1: I think it depends on which yield care. If you're 640 00:36:06,360 --> 00:36:09,160 Speaker 1: looking at the one at which you references the ten 641 00:36:09,239 --> 00:36:12,960 Speaker 1: minus to spread and that inverted at a point in time, 642 00:36:13,320 --> 00:36:15,000 Speaker 1: I think what has happened there is the middle end 643 00:36:15,000 --> 00:36:18,360 Speaker 1: of the curve has aggressively priced in the said response 644 00:36:18,400 --> 00:36:21,439 Speaker 1: to inflation, and it should. I think if you take 645 00:36:21,480 --> 00:36:24,239 Speaker 1: a step back and look at different maturity of yield 646 00:36:24,239 --> 00:36:26,200 Speaker 1: cre for example, starting with the three length of the 647 00:36:26,200 --> 00:36:29,000 Speaker 1: ten year, you see something that is still tremendously steep, 648 00:36:29,000 --> 00:36:30,919 Speaker 1: and put in the context that the strength were seeing 649 00:36:30,960 --> 00:36:33,600 Speaker 1: from other economic data, that's where we think investors should look. 650 00:36:35,200 --> 00:36:38,880 Speaker 1: Are you thinking that we could see something like seventy 651 00:36:38,920 --> 00:36:42,960 Speaker 1: five basis point moves? We've heard a number of analysts, 652 00:36:42,960 --> 00:36:46,000 Speaker 1: including the BURA most recently, making that call. Do you 653 00:36:46,040 --> 00:36:50,640 Speaker 1: think the Fed gets that aggressive? It's possible. I think 654 00:36:51,000 --> 00:36:54,640 Speaker 1: in reality, going back to where GDP is, the Fed 655 00:36:54,680 --> 00:36:57,399 Speaker 1: policies we're in experience this year, even if they get 656 00:36:57,440 --> 00:36:58,920 Speaker 1: to two and a half point by the end of 657 00:36:58,920 --> 00:37:03,520 Speaker 1: the year, still massively easy relative to the strength that 658 00:37:03,560 --> 00:37:06,160 Speaker 1: we're seeing in this economic cycle. So if we're talking 659 00:37:06,160 --> 00:37:08,399 Speaker 1: whether it's fifty or seventy five, I think that's less 660 00:37:08,400 --> 00:37:10,320 Speaker 1: important than if we take a look at the context 661 00:37:10,440 --> 00:37:13,040 Speaker 1: of f polity over the course of the year against 662 00:37:13,080 --> 00:37:16,600 Speaker 1: the economic backdrop, and they are still relative to where 663 00:37:16,640 --> 00:37:20,319 Speaker 1: they should be, still quite easy given how strong the 664 00:37:20,360 --> 00:37:23,480 Speaker 1: economic backdrop is. Well, what about the impact though, of 665 00:37:23,520 --> 00:37:28,279 Speaker 1: the war in Ukraine and the potential for further volatility 666 00:37:28,320 --> 00:37:30,520 Speaker 1: in the commodity space. I mean, that's got to have 667 00:37:30,560 --> 00:37:34,960 Speaker 1: an impact on equities as well, doesn't end and it is. 668 00:37:35,440 --> 00:37:39,160 Speaker 1: I think that impact is being more pronounced within Europe, 669 00:37:39,160 --> 00:37:41,480 Speaker 1: and I think they're Um. You know, whether or not 670 00:37:41,600 --> 00:37:45,680 Speaker 1: you're you're tracking the economic data close, it looks more recessionary, 671 00:37:45,760 --> 00:37:47,960 Speaker 1: particularly what we're seeing here in the US. So if 672 00:37:47,960 --> 00:37:51,080 Speaker 1: you're thinking about the impact of commodities, oil and weeds, 673 00:37:51,320 --> 00:37:54,440 Speaker 1: particularly agricultural commodities, volatility remains high, and we're frankly, we're 674 00:37:54,440 --> 00:37:57,040 Speaker 1: seeing volatility high across a lot of areas, including other 675 00:37:57,080 --> 00:37:59,759 Speaker 1: fixed income areas as well. Um. But but when I 676 00:37:59,800 --> 00:38:03,239 Speaker 1: look at US equities, they appear to be more insulated 677 00:38:03,280 --> 00:38:06,880 Speaker 1: from the disruptions that we're seeing emanating out of Ukraine. 678 00:38:06,920 --> 00:38:10,239 Speaker 1: So global investors, particularly those in Europe. It's it's much 679 00:38:10,280 --> 00:38:12,600 Speaker 1: more difficult environment than were we're experiencing here in the US. 680 00:38:13,120 --> 00:38:15,360 Speaker 1: All Right, thanks for this, Patrick, great having your thoughts 681 00:38:15,400 --> 00:38:19,040 Speaker 1: this morning. Patrick Palfrey is the co head of quant Research, 682 00:38:19,120 --> 00:38:23,040 Speaker 1: senior equity strategist at Credit Suisse. Karen. All right, Nathan, 683 00:38:23,080 --> 00:38:25,080 Speaker 1: it is five fifty three on Wall Street. Time for 684 00:38:25,120 --> 00:38:27,840 Speaker 1: our Bloomberg's Law Report. Let's get to the legal stories 685 00:38:27,880 --> 00:38:34,520 Speaker 1: we're watching this morning from Bloomberg's Jeff Bellinger, a multi 686 00:38:34,560 --> 00:38:37,480 Speaker 1: state tax commission attorney. He says states have to decide 687 00:38:37,520 --> 00:38:40,400 Speaker 1: quickly on how they will treat non fungible tokens or 688 00:38:40,600 --> 00:38:43,279 Speaker 1: n f t s for tax purposes. Stone Brewing was 689 00:38:43,360 --> 00:38:45,920 Speaker 1: ordered to stop using the slogan keep It Juicy on 690 00:38:46,000 --> 00:38:48,920 Speaker 1: boxes of its Hazy I p A until a trademark 691 00:38:48,960 --> 00:38:52,279 Speaker 1: dispute with Sycamore Brewing is resolved. Sycamore makes a beer 692 00:38:52,360 --> 00:38:55,320 Speaker 1: called Juiciness I p A. The federal judge refused to 693 00:38:55,360 --> 00:38:57,720 Speaker 1: sign off on a one point three million dollars settlement 694 00:38:57,760 --> 00:39:01,040 Speaker 1: between a Duncan franchise in New York and an employee 695 00:39:01,040 --> 00:39:03,799 Speaker 1: who saw unpaid wages on behalf of more than one 696 00:39:03,840 --> 00:39:08,319 Speaker 1: thousand other workers Bloomberg Law everything you need, all on 697 00:39:08,320 --> 00:39:13,839 Speaker 1: one legal research platform, including guidance analysis and Bloomberg Market Intelligence. 698 00:39:14,000 --> 00:39:18,359 Speaker 1: Find out more at Bloomberg Law dot com. All right, 699 00:39:18,360 --> 00:39:21,399 Speaker 1: thank you, Jeff. Another legal story we're watching. Elon Musk 700 00:39:21,440 --> 00:39:24,120 Speaker 1: says he has lined up financing to buy Twitter, and 701 00:39:24,160 --> 00:39:27,240 Speaker 1: a filing with the SEC must said he's exploring what's 702 00:39:27,280 --> 00:39:29,480 Speaker 1: known as a tender offer to buy all of the 703 00:39:29,560 --> 00:39:33,400 Speaker 1: social media platforms common stock for fifty four dollars twenty 704 00:39:33,400 --> 00:39:36,360 Speaker 1: cents a share in cash. Even with the funding secure, 705 00:39:36,480 --> 00:39:39,759 Speaker 1: taking over Twitter will not be easy. For more, Bloomberg's 706 00:39:39,800 --> 00:39:43,720 Speaker 1: Jam Grosso speaks to Alan Capin, a partner at Farrell Fritz, 707 00:39:44,200 --> 00:39:47,160 Speaker 1: Elon Musk is the richest man in the world. Does 708 00:39:47,200 --> 00:39:51,680 Speaker 1: he have enough to buy Twitter outright? Well, it appears 709 00:39:51,719 --> 00:39:55,320 Speaker 1: that he does now with the commitments that he's received, 710 00:39:55,880 --> 00:40:00,360 Speaker 1: between his own equity commitment and the dead commit mints 711 00:40:00,400 --> 00:40:04,800 Speaker 1: from the syndicate of banks, that he does have enough 712 00:40:05,120 --> 00:40:10,040 Speaker 1: to fund the offer he has made for Twitter. Now, 713 00:40:10,080 --> 00:40:12,360 Speaker 1: that's not to say that the board will accept his offer. 714 00:40:12,600 --> 00:40:14,759 Speaker 1: If the board does not accept his offer, he is 715 00:40:14,960 --> 00:40:18,600 Speaker 1: at least threatening right now to go hostile, to go 716 00:40:18,760 --> 00:40:22,640 Speaker 1: straight to the stockholders. And offer to purchase their shares directly. 717 00:40:23,320 --> 00:40:26,400 Speaker 1: Tell me what you think Musk is really up to 718 00:40:26,880 --> 00:40:30,400 Speaker 1: with this filing. Well, I have to say that before 719 00:40:30,440 --> 00:40:33,440 Speaker 1: this I was not quite convinced that he was serious 720 00:40:33,440 --> 00:40:37,319 Speaker 1: about acquiring Twitter. I thought that he, you know, sort 721 00:40:37,360 --> 00:40:40,480 Speaker 1: of can go either way. If it worked out, great, 722 00:40:40,600 --> 00:40:44,319 Speaker 1: If not, he could exert pressure from the sidelines to 723 00:40:44,400 --> 00:40:46,840 Speaker 1: do what we know he wants to do, which is 724 00:40:46,880 --> 00:40:49,759 Speaker 1: to bring about certain changes in the product and the 725 00:40:49,800 --> 00:40:53,359 Speaker 1: operations of Twitter. This filing shows that he's a little 726 00:40:53,360 --> 00:40:57,560 Speaker 1: bit more serious than it appeared before, because now he's 727 00:40:57,600 --> 00:41:00,520 Speaker 1: got the funding. And he also said in the SEC 728 00:41:00,680 --> 00:41:05,960 Speaker 1: following that another condition that he had expressed before is 729 00:41:06,000 --> 00:41:09,880 Speaker 1: no longer a condition to his offer, which is business 730 00:41:09,960 --> 00:41:13,800 Speaker 1: due diligence. So two major conditions have now gone away. 731 00:41:14,200 --> 00:41:16,799 Speaker 1: One is the financing condition and the other one is 732 00:41:16,800 --> 00:41:20,040 Speaker 1: the business due diligence condition. So the offer looks a 733 00:41:20,040 --> 00:41:22,640 Speaker 1: lot more credible, and he's got some very serious banks 734 00:41:22,760 --> 00:41:25,400 Speaker 1: backing him up. That's not to say that the Twitter 735 00:41:25,440 --> 00:41:29,240 Speaker 1: board will roll over and accept his offer. Three things 736 00:41:29,280 --> 00:41:32,240 Speaker 1: can happen now from the Twitter board side of things. 737 00:41:32,560 --> 00:41:35,480 Speaker 1: One is that they could accept the offer. Number two 738 00:41:35,560 --> 00:41:38,520 Speaker 1: is that they can make a decision to remain independent 739 00:41:38,760 --> 00:41:43,760 Speaker 1: by asserting that stockholders in the company are better off 740 00:41:43,800 --> 00:41:48,880 Speaker 1: by remaining independence and pursuing the corporate strategy. Or three, 741 00:41:49,520 --> 00:41:53,360 Speaker 1: they can find what's called the White Knight, another company 742 00:41:53,400 --> 00:41:57,360 Speaker 1: that they feel is more friendly to the board and 743 00:41:57,560 --> 00:42:01,520 Speaker 1: is more in line with the corporate strategy. All Right, 744 00:42:01,520 --> 00:42:04,480 Speaker 1: and Massillon cap In a partner at Ferrell Fritz speaking 745 00:42:04,480 --> 00:42:07,839 Speaker 1: with Bloomberg stun Grosso. Catch more of that interview plus 746 00:42:07,840 --> 00:42:10,759 Speaker 1: analysis of the latest legal news by listening to the 747 00:42:10,800 --> 00:42:14,160 Speaker 1: Bloomberg Law Show at ten pm Eastern Time or subscribing 748 00:42:14,200 --> 00:42:17,160 Speaker 1: to the Bloomberg Law Podcast. And attorneys can find exceptional 749 00:42:17,239 --> 00:42:22,200 Speaker 1: legal research and business development tools at Bloomberg Law dot com. Again, 750 00:42:22,280 --> 00:42:25,600 Speaker 1: futures this morning are lower, with SMP futures down seventeen 751 00:42:25,600 --> 00:42:30,120 Speaker 1: points down, futures down one and nasdack futures down sixties six. 752 00:42:30,200 --> 00:42:33,160 Speaker 1: Ten year treasury down seven thirty seconds, yield two point 753 00:42:33,200 --> 00:42:35,839 Speaker 1: nine three percent and the yield of a two year 754 00:42:35,960 --> 00:42:40,840 Speaker 1: two point seven five percent well still ahead. On Bloomberg Daybreak, 755 00:42:41,120 --> 00:42:43,760 Speaker 1: h check on the business headlines and all the news 756 00:42:43,840 --> 00:42:46,920 Speaker 1: you need to start your day. This is Bloomberg